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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2015
150 Independence Group NL
Notes to the consolidated financial statements
30 June 2015
31 Share-based payments (continued)
Employee share scheme (continued)
The target ROE will be set each year by the Board as part of the budget approval process for the following year. The
target ROE used in previous financial years was 10%.
The portion of performance rights (25% of the total) that will vest based on the comparative return on equity will be:
Actual ROE
Level of vesting
100% of average target ROE
25%
Between 100% and 115% of average target ROE
Pro-rata straight line percentage
115% of average target ROE or greater
100%
Other employees
Vesting of the performance rights to all other employees of the Company is subject to a combination of the personal
performance of the individual and the Company’s shareholder return over the measurement period, being one year. The
performance rights will vest one year after measurement period on the following basis:
Personal performance
The vesting of between 60-90% of the number of performance rights at the end of the second year will be based on the
personal performance of the individual employee. The personal performance of the participant will be determined solely
at the discretion of the Company and is determined as a result of the annual performance review of each participant.
The portion of performance rights (ranging between 60-90% of the total) that will vest based on the personal
performance return will be:
Performance standard criteria
Level of vesting
Unsatisfactory work performance
0%
Improvement in performance standard required
0%
Developing contributor
40%
Consistent contributor
60%
Solid contributor
80%
Outstanding contributor
100%
Shareholder return
The vesting of between 10-40% of the performance rights at the end of the second year will be based on measuring the
actual shareholder return at the end of the measurement period of one year compared with the change in the S&P ASX
300 Metals and Mining Index ("Index") over that same period. The portion of performance rights (ranging between
10-40% of the total) that will vest based on the comparative shareholder return will be:
Shareholder return
Level of vesting
100% of the Index
25%
Between 100% and 115% of the Index
Pro-rata straight line percentage
115% of the Index or greater
100%
The performance rights will not be subject to any further escrow restrictions once they have vested to the employees.
Share trading policy
The trading of shares issued to participants under the Company’s PRP is subject to, and conditional upon, compliance
with the Company’s employee share trading policy.
Non-executive Directors
The PRP permits non-executive directors to be eligible employees and therefore to participate in the plan. It is not
currently intended that non-executive directors will be issued with performance rights under the PRP and any such issue
would be subject to all necessary shareholder approvals.
Independence Group NL
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